FREE STATE FARM
Dairy ‘fraud’ bolsters claim against Oakbay
The IDC says Oakbay had made assurances that no part of its business had been conducted unlawfully
The involvement of Oakbay Investments in the alleged corrupt diversion of public funds through a Free State dairy farm has provided the Industrial Development Corporation (IDC) with additional grounds to rescind its loan-restructuring agreement with the company and to demand the repayment of R287.5m. This is in addition to basing its claim on the unlawful manipulation of the Oakbay Resources and Energy share price when the company was listed in November 2014. The additional grounds to demand the repayment of R287.5m in principal debt and interest emerged from the corporation’s particulars of claim that has been filed in the High Court in Johannesburg. The IDC says that at the time that Oakbay and the IDC concluded the loan-restructuring agreement, Oakbay assured the IDC that no part of its business had been conducted unlawfully. It says that this representation was false as Oakbay contravened the Prevention of Organised Crime Act. Oakbay therefore committed fraud. "The fraudulent mi...
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